Protect your property investments.
Real estate comes with real risks. Whether you’re an investor, a real estate agent, or a property manager, you could face unexpected losses and lawsuits. Real estate insurance provides protection for your property, career, and investment.
Common Real Estate Coverage Types to Consider
Mavrix offers insurance solutions for property owners, managers, and investors. From building coverage to tenant liability, our plans safeguard your properties and protect long-term investments.
Insuring Your Real Estate Investment and Career
A wildfire rages through your property. A storm tears the roof off your building. A guest is hurt in a fall. A major deal falls through due to a small oversight. These are just a few of the scenarios that may lead to financial loss for real estate professionals.
Regardless of your role in the real estate industry, the right insurance will help you manage your property and liability risks.
Frequently Asked Questions
What is real estate liability insurance and who needs it?
Real estate liability insurance may refer to real estate professional liability insurance or general liability coverage. These two policies provide coverage for different types of lawsuits that real estate professionals may face.
General liability insurance provides coverage for third-party claims involving bodily injury, property damage, advertising injury, and personal injury. For example, if a client comes to your office for a meeting and is injured after tripping on a torn carpet, general liability insurance will provide coverage for any resulting claim. This type of liability insurance coverage is important for a wide range of businesses, including real estate businesses.
Real estate professional liability insurance provides coverage for claims involving financial loss due to errors, omissions, or negligence in professional services. For example, a real estate client may file a lawsuit accusing a real estate broker of mispresenting a property. This type of real estate professional insurance is also called real estate errors and omissions insurance. It is important for real estate agents and brokers as well as for property appraisers and property managers.
Real estate professionals may also need other types of liability insurance, including employment practices liability, commercial auto liability, and landlord insurance.
What does landlord insurance typically cover for rental properties?
Landlord insurance is also called landlord insurance coverage for rental properties, insurance for apartment owners, and rental homeowners insurance. It provides coverage for the landlord’s property, including the building structure. Covered perils typically include fire, lightning, wind, and hail. Policies typically exclude floods and earthquakes, but you can purchase additional coverage for these perils. Some policies provide coverage for rental income loss after a covered loss.
In addition, landlord insurance typically provides liability protection for certain types of claims. For example, if a tenant or guest is injured tripping over a pothole in your parking area, a landlord insurance policy could cover the resulting claim.
How is landlord insurance different from renters insurance?
Landlord and renters insurance serve different purposes. Landlord insurance covers the landlord’s property and liability, but it does not cover the tenant. For example, if a fire occurs, the landlord insurance policy should cover the building structure, but it will not cover the renter’s personal belongings. Likewise, landlord insurance covers lawsuits against the landlord, but it does not cover the tenant. If the tenant is sued – for example, due to a dog bite – the tenant will need renters insurance for coverage.
Why is professional liability insurance important for real estate agents and brokers?
Since real estate transactions involve substantial amounts of money, any errors or omissions may have major financial consequences. Real estate agents and brokers may face errors and omissions lawsuits over a number of different issues – from failing to disclose information about a property to missing a deadline or making a mistake in paperwork. Professional liability real estate broker insurance provides coverage for the resulting legal defense costs.
How much does landlord insurance cost and what affects the price?
The cost of landlord insurance depends on a number of factors, including the size and value of the property and the risk profile of the account. Insuring a single-unit property is generally a lot less expensive than insuring a large property with dozens of units. The location may have a big impact on costs, too. Some areas have much higher storm and wildfire exposures, and property insurance rates have been rising in those areas. To see how much you’ll pay, request a landlord insurance quote.